Iran Minister forecasts 7 percent growth in economy

The Minister of Economic Affairs and Finance of Iran predicted a seven percent growth for the countrys economy this year without an increase in oil exports.

(SHADA: TEHRAN) -- Speaking at a joint meeting with executives of state-owned banks, Masood Karbassian said that the economy grew 12.5 percent last year, added: Regarding the rate of economic growth, we should also bear in mind that the main share of economic growth last year was due to the increase in oil production, but this year this is no longer the case, since oil production and export growth reached 2.5 million barrels a year ago and there is currently no possibility of increasing it based on quotas and existing realities, and as a result this year's growth is largely due to factors other than increased oil exports.

It is not just our opinion, but is also mentioned in the International Monetary Fund's report, which counted Iran's economic growth for nearly 5% this year and has also considered the government's structural reforms as accurate and well-adjusted, the Minister noted.

For next year, one and two tens of billions of dollars have been proposed for employment from the National Development Fund, Karbassian said, adding: In addition, attention to production and employment will place additional duties on banks in order to provide facilities to the competent authorities required by law.

Recalling that 90 percent of the country's financial burden is borne by the banks, the Minister of Economy said that some of their problems include balance sheet, frozen assets, fluctuating debts and low income earnings.

Emphasizing the speedy realization of electronic banking to fight against corruption, Karbassian said that with the development of e-banking, the number of unnecessary and non-profit branches will be reduced.